Counterfeit products are imitations of an original product usually with the intent to deceive. The detection of counterfeit products is difficult as counterfeiters are highly motivated to not be discovered. While motives of counterfeiters are generally financial, the danger they impose may be greater than just monetary. Take, for example, the counterfeiting of medicines—oftentimes counterfeiters target life-saving medicines to counterfeit because they are lucrative. The counterfeit medicines that enter the supply chain not only undermine the medical system, but they can be dangerous to the people who require the medicines. While some patients may receive ineffective medicines, others may receive ones that are harmful and may even cause death.
Manufacturers have tried many measures to stop counterfeiters, including providing unique packaging, using holograms, micro-printing, and using color-changing inks. Nevertheless, the technology used by counterfeits often overcomes these deterrents and the results are that counterfeit products continue to infiltrate the market.
While some of the potential risks to consumers are discussed above, manufacturers of counterfeit products lose billions in revenue every year and also have their reputations hurt by inferior products entering the market that bear their names. Even suppliers are affected as manufacturers may change their supply chains in attempt to thwart counterfeits adding costs to suppliers and reducing the number of packages and vendors that use their services.
Counterfeiting is a major problem throughout the world and adversely effects affects everyone in the supply chain.